RPC, Inc.

What they do

RPC operates through two segments: Technical Services (94.4% of 2025 revenue) and Support Services. Technical Services provides pressure pumping, wireline, downhole tools, coiled tubing and cementing at the well site through subsidiaries including Cudd Energy Services, Cudd Pressure Control, Thru Tubing Solutions, Pintail Completions and Patterson Services. Support Services provides off-well-site equipment and services such as rental tools, drill pipe, pipe handling and inspection. As of December 31, 2025, RPC had 2,893 employees.

Revenue drivers

• Technical Services — The core segment, generating $1.54 billion or 94.4% of 2025 revenue through people and equipment performing completion, production and maintenance services at customer well sites.
• Pressure Pumping — The largest single service line within Technical Services, at $485.0 million or 29.8% of 2025 revenue, but down from $587.1 million in 2024 and $771.5 million in 2023.
• Downhole Tools — The second-largest service line, at $393.8 million or 24.2% of 2025 revenue, which RPC describes as a differentiated line with technology innovation and new product development opportunities.
• Support Services — Rental tools, drill pipe, pipe handling and inspection services generating $90.5 million or 5.6% of 2025 revenue, with demand tied primarily to customer drilling-related activity.

Recent performance

Second quarter 2026 revenue was $460.9 million, up 1% sequentially and 9.5% year over year. Net income was $12.1 million, or $0.05 diluted EPS, versus $0.9 million in the prior quarter; net income margin rose 240 basis points sequentially to 2.6%. Adjusted EBITDA was $66.0 million versus $53.5 million in the prior quarter, with Adjusted EBITDA margin of 14.3%. Operating income was $14.8 million, compared to $15.5 million in the same period of 2025. Net cash provided by operating activities was $74.6 million for the first half of 2026, down from $92.9 million a year earlier on working capital increases.

Strategy

RPC's stated objective is long-term shareholder value through delivering oilfield services across all service lines, executed via strategic investments organic and potential M&A to increase scale, diversify offerings, expand customers and improve profitability. Management expects 2026 capital expenditures of $150 million to $180 million, directed primarily at capitalized maintenance of existing equipment and selected growth opportunities. The company intends to continue upgrading equipment to Tier 4 DGB over time and is investing in electric pressure pumping fleets. It also monitors industry factors such as oil and natural gas prices, competitive activity and E&P capital trends. The company declared a regular quarterly cash dividend of $0.04 per share payable September 10, 2026.

Risks

• Pressure pumping oversupply and price competition — RPC states that increased asset efficiencies have created a general oversupply of oilfield services capacity, particularly in pressure pumping, driving a high level of price competition as companies seek to keep assets utilized.
• Customer capital spending and commodity prices — Technical Services demand depends on customers' decisions to invest capital in new wells, production enhancement or well control, making revenue sensitive to oil and natural gas prices and E&P activity.
• Geopolitical and macroeconomic disruption — The 10-Q cites political instability in petroleum-producing regions, the Iran war and related blockade of the Strait of Hormuz and other oil transportation shipping lanes, and OPEC actions as factors affecting results.
• CEO transition — President and CEO Ben M. Palmer has announced his retirement after 30 years with RPC, and the board is working on a transition to the next generation of leadership.

Outlook

Management says it saw reasons for optimism in the second quarter, with some improved pricing and activity visibility that allowed a modest CapEx increase to support targeted growth. It remains cautious because of oil price volatility, but states that the balance sheet affords the ability to invest opportunistically. The company notes continued focus on full-cycle returns and long-term shareholder value, with the CEO transition proceeding alongside the business.